The stock market watchdog, Sebi, has asked a man named Krishna Shriram to return Rs 6.17 crore that his late father, Siddharth Shriram, made by trading shares based on confidential information about Mawana Sugars Ltd. This order comes after Sebi looked into the trading activities of Siddharth from September 2017 to February 2018, when he was reportedly aware of important information that had not yet been made public.
Siddharth Shriram passed away in May 2021, and the shares he owned were transferred to Krishna, who is now the Chairman of Mawana Sugars. Sebi noted that Siddharth avoided losing money during his trades, which weren’t fair because he had access to sensitive information about the company’s financial performance.
Due to these reasons, Sebi directed Krishna to pay back the gains of Rs 6.17 crore within 45 days, plus interest at 12% starting from November 24, 2017. If he does not pay within this time, more interest will continue to accumulate until the amount is paid. The money collected will go into the Investor Education and Protection Fund to help educate investors.
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